Breo: Actual Controller Ma Xuejun Penalized by CSRC for Manipulating the Securities Market

Breo announced that Ma Xuejun, the company's controlling shareholder and actual controller, was previously placed under investigation by the CSRC on suspicion of manipulating the securities market, and the company recently received the CSRC's Administrative Penalty Decision forwarded by him. The CSRC confiscated illegal gains of RMB 10.1183 million and imposed a fine of RMB 30.3548 million, totaling RMB 40.4731 million, on Ma Xuejun and six other individuals for manipulating "Breo" shares; of this, Ma Xuejun bears a fine of RMB 11.8419 million and is also subject to a 5-year securities market ban and a 5-year prohibition on securities market trading. This penalty concerns the actual controller's personal matter and is unrelated to the company's production and operations; the company is currently operating normally.